Mahindra & Mahindra Ltd., the Indian company behind the Mahindra small diesel-powered pickup, has issued a statement saying that it has terminated the agreement with its U.S. importer, Global Vehicles U.S.A. Inc. This could mean even more delays for the diesel small truck that was originally slated for release in the United States in mid-2009.

Global Vehicles has issued a statement claiming that the attempt to terminate the agreement between the companies is illegal. Global Vehicles says that it will fight Mahindra in court for the right to release the pickup in the U.S., according to Autoweek.

The legal fight could mean more serious delays for the small diesel pickup that is already a year late to the United States. A Mahindra dealer who spoke on condition of anonymity said that if Mahindra does terminate its agreement with Global Vehicles, it would need to create its own dealer network. Creating a new dealership network, even if it included all of the 300 to 350 dealerships that have signed on with Global Vehicles, would mean months of legal and financial review, according to the Mahindra dealer.

One Response to “Mahindra Diesel Small Pickup Could be Delayed Again”

Commenting on the current state of the legal dispute between Mahindra and GV would be futile. This story has taken too many turns. Thank god for some good news at least: I recently read that Mahindra’s pickups were finally approved for sale in the US by the EPA. This has to be a step in the right direction and I sincerely hope it helps Mahindra speed up the launch timelines. These trucks are way late but at the same time they are way needed. There’s currently nothing quite like them in terms of value proposition (top of which is their clean diesel engine, a first in a non-full size pickup!)

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